1. Is it acceptable for a company to disclose in its annual report that it is switching from some other inventory costing method to LIFO to save on taxes? Explain. 2. Why is it likely that the result...

1. Is it acceptable for a company to disclose in its annual report that it is switching from some other inventory costing method to LIFO to save on taxes? Explain.

2. Why is it likely that the result from applying the lower-of-cost-or-market rule using a total approach (i.e., by comparing total cost to total market value) and the result from applying the rule on an item-by-item basis will differ?